83 FR 10761 - Self-Regulatory Organizations; Fixed Income Clearing Corporation; Notice of Extension of Review Period of Advance Notice To Implement Changes to the Method of Calculating Netting Members' Margin in the Government Securities Division Rulebook

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 83, Issue 48 (March 12, 2018)

Page Range		10761-10762
FR Document		2018-04903

Federal Register, Volume 83 Issue 48 (Monday, March 12, 2018)

[Federal Register Volume 83, Number 48 (Monday, March 12, 2018)]
[Notices]
[Pages 10761-10762]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-04903]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-82820; File No. SR-FICC-2018-801]


Self-Regulatory Organizations; Fixed Income Clearing Corporation; 
Notice of Extension of Review Period of Advance Notice To Implement 
Changes to the Method of Calculating Netting Members' Margin in the 
Government Securities Division Rulebook

March 7, 2018.
    On January 12, 2018, the Fixed Income Clearing Corporation 
(``FICC'') filed with the Securities and Exchange Commission 
(``Commission'') advance notice SR-FICC-2018-801 (``Advance Notice'') 
pursuant to Section 806(e)(1) of Title VIII of the Dodd-Frank Wall 
Street Reform and Consumer Protection Act, entitled the Payment, 
Clearing, and Settlement Supervision Act of 2010 (``Clearing 
Supervision Act'') \1\ and Rule 19b-4(n)(1)(i) under the Securities 
Exchange Act of 1934 (``Exchange Act'').\2\ The Advance Notice was 
published for comment in the Federal Register on March 2, 2018.\3\ The 
Commission has received two comments on the proposal contained in the 
Advance Notice.\4\
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    \1\ 12 U.S.C. 5465(e)(1). The Financial Stability Oversight 
Council designated FICC a systemically important financial market 
utility on July 18, 2012. See Financial Stability Oversight Council 
2012 Annual Report, Appendix A, http://www.treasury.gov/initiatives/fsoc/Documents/2012%20Annual%20Report.pdf. Therefore, FICC is 
required to comply with the Payment, Clearing and Settlement 
Supervision Act and file advance notices with the Commission. See 12 
U.S.C. 5465(e).
    \2\ 17 CFR 240.19b-(n)(1)(i).
    \3\ Securities Exchange Act Release No. 82779 (February 26, 
2018), 83 FR 9055 (March 2, 2018) (SR-FICC-2018-801). FICC also 
filed a related proposed rule change (SR-FICC-2018-001) with the 
Commission pursuant to Section 19(b)(1) of the Exchange Act and Rule 
19b-4 thereunder, seeking approval of changes to its rules necessary 
to implement the Advance Notice (``Proposed Rule Change''). 15 
U.S.C. 78s(b)(1) and 17 CFR 240.19b-4, respectively. The Proposed 
Rule Change was published in the Federal Register on February 1, 
2018. Securities Exchange Act Release No. 82588 (January 26, 2018), 
83 FR 4687 (February 1, 2018) (SR-FICC-2018-001).
    \4\ See letter from Robert E. Pooler, Chief Financial Officer, 
Ronin Capital LLC, dated February 22, 2018, to Robert W. Errett, 
Deputy Secretary, Commission, available at https://www.sec.gov/comments/sr-ficc-2018-001/ficc2018001-3133039-161947.pdf; letter 
from Michael Santangelo, Chief Financial Officer, Amherst Pierpont 
Securities LLC, dated February 22, 2018, to Brent J. Fields, 
Secretary, Commission, available at https://www.sec.gov/comments/sr-ficc-2018-001/ficc2018001-3130095-161938.pdf. Since the proposal 
contained in the Advance Notice was also filed as a Proposed Rule 
Change, supra note 3, the Commission is considering all public 
comments received on the proposal regardless of whether the comments 
were submitted to the Advance Notice or the Proposed Rule Change.

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[[Page 10762]]

    Section 806(e)(1)(G) of the Clearing Supervision Act provides that 
FICC may implement the changes if it has not received an objection to 
the proposed changes within 60 days of the later of (i) the date that 
the Commission receives the Advance Notice or (ii) the date that any 
additional information requested by the Commission is received,\5\ 
unless extended as described below.
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    \5\ 12 U.S.C. 5465(e)(1)(G).
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    Pursuant to Section 806(e)(1)(H) of the Clearing Supervision Act, 
the Commission may extend the review period of an advance notice for an 
additional 60 days, if the changes proposed in the advance notice raise 
novel or complex issues, subject to the Commission providing the 
clearing agency with prompt written notice of the extension.\6\
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    \6\ 12 U.S.C. 5465(e)(1)(H).
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    Here, as the Commission has not requested any additional 
information, the date that is 60 days after FICC filed the Advance 
Notice with the Commission is March 13, 2018. However, the Commission 
finds the Advance Notice complex because FICC proposes to make 
detailed, substantial, and numerous changes to the GSD margin 
calculation. Therefore, the Commission finds it appropriate to extend 
the review period of the Advance Notice for an additional 60 days under 
Section 806(e)(1)(H) of the Clearing Supervision Act.\7\
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    \7\ Id.
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    Accordingly, the Commission, pursuant to Section 806(e)(1)(H) of 
the Clearing Supervision Act,\8\ extends the review period for an 
additional 60 days so that the Commission shall have until May 12, 2018 
to issue an objection or non-objection to advance notice SR-FICC-2018-
801.
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    \8\ Id.

    By the Commission.
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2018-04903 Filed 3-9-18; 8:45 am]
 BILLING CODE 8011-01-P

Federal Register / Vol. 83, No. 48 / Monday, March 12, 2018 / Notices 10761

1. While the Exchange believes that Comments may be submitted by any of SECURITIES AND EXCHANGE
members understand that the footnoted the following methods: COMMISSION
taker fees, which are provided to
members that meet additional volume Electronic Comments [Release No. 34–82820; File No. SR–FICC–
2018–801]
and other requirements, apply instead of • Use the Commission’s internet
rather than in addition to the taker fees comment form (http://www.sec.gov/ Self-Regulatory Organizations; Fixed
charged to members that do not meet rules/sro.shtml); or Income Clearing Corporation; Notice of
these requirements, the Exchange Extension of Review Period of
believes that spelling this out more • Send an email to rule-comments@
sec.gov. Please include File Number SR– Advance Notice To Implement
explicitly will avoid any potential Changes to the Method of Calculating
confusion. MRX–2018–07 on the subject line.
Netting Members’ Margin in the
B. Self-Regulatory Organization’s Paper Comments Government Securities Division
Statement on Burden on Competition Rulebook
• Send paper comments in triplicate
The Exchange does not believe that to Secretary, Securities and Exchange March 7, 2018.
the proposed rule change will impose Commission, 100 F Street NE, On January 12, 2018, the Fixed
any burden on competition not Washington, DC 20549–1090. Income Clearing Corporation (‘‘FICC’’)
necessary or appropriate in furtherance filed with the Securities and Exchange
of the purposes of the Act. The All submissions should refer to File Commission (‘‘Commission’’) advance
Exchange does not believe that the Number SR–MRX–2018–07. This file notice SR–FICC–2018–801 (‘‘Advance
proposed rule change will have any number should be included on the Notice’’) pursuant to Section 806(e)(1) of
impact on competition as the proposed subject line if email is used. To help the Title VIII of the Dodd-Frank Wall Street
changes would merely clarify the Commission process and review your Reform and Consumer Protection Act,
Schedule of Fees by, among other comments more efficiently, please use entitled the Payment, Clearing, and
things, adopting explicit definitions for only one method. The Commission will Settlement Supervision Act of 2010
certain common terms, and making post all comments on the Commission’s (‘‘Clearing Supervision Act’’) 1 and Rule
other non-substantive changes. No internet website (http://www.sec.gov/ 19b–4(n)(1)(i) under the Securities
changes to the actual fees charged to rules/sro.shtml). Copies of the Exchange Act of 1934 (‘‘Exchange
market participants are proposed, and submission, all subsequent Act’’).2 The Advance Notice was
members will continue to be charged amendments, all written statements published for comment in the Federal
the same fees as they are assessed under with respect to the proposed rule Register on March 2, 2018.3 The
the Schedule of Fees today. change that are filed with the Commission has received two
Commission, and all written comments on the proposal contained in
C. Self-Regulatory Organization’s
communications relating to the the Advance Notice.4
Statement on Comments on the
Proposed Rule Change Received From proposed rule change between the
Members, Participants, or Others Commission and any person, other than 1 12 U.S.C. 5465(e)(1). The Financial Stability

those that may be withheld from the Oversight Council designated FICC a systemically
No written comments were either important financial market utility on July 18, 2012.
public in accordance with the See Financial Stability Oversight Council 2012
solicited or received. provisions of 5 U.S.C. 552, will be Annual Report, Appendix A, http://
III. Date of Effectiveness of the available for website viewing and www.treasury.gov/initiatives/fsoc/Documents/
printing in the Commission’s Public 2012%20Annual%20Report.pdf. Therefore, FICC is
Proposed Rule Change and Timing for required to comply with the Payment, Clearing and
Commission Action Reference Room, 100 F Street NE, Settlement Supervision Act and file advance
Washington, DC 20549, on official notices with the Commission. See 12 U.S.C.
The foregoing rule change has become
business days between the hours of 5465(e).
effective pursuant to Section 2 17 CFR 240.19b–(n)(1)(i).
10:00 a.m. and 3:00 p.m. Copies of the
19(b)(3)(A)(ii) of the Act,7 and Rule b– 3 Securities Exchange Act Release No. 82779
filing also will be available for
4 (f)(2) 8 thereunder. At any time within (February 26, 2018), 83 FR 9055 (March 2, 2018)
inspection and copying at the principal (SR–FICC–2018–801). FICC also filed a related
60 days of the filing of the proposed rule
office of the Exchange. All comments proposed rule change (SR–FICC–2018–001) with
change, the Commission summarily may
received will be posted without change. the Commission pursuant to Section 19(b)(1) of the
temporarily suspend such rule change if Exchange Act and Rule 19b–4 thereunder, seeking
Persons submitting comments are
it appears to the Commission that such approval of changes to its rules necessary to
cautioned that we do not redact or edit implement the Advance Notice (‘‘Proposed Rule
action is: (i) Necessary or appropriate in
personal identifying information from Change’’). 15 U.S.C. 78s(b)(1) and 17 CFR 240.19b–
the public interest; (ii) for the protection 4, respectively. The Proposed Rule Change was
of investors; or (iii) otherwise in comment submissions. You should
published in the Federal Register on February 1,
furtherance of the purposes of the Act. submit only information that you wish 2018. Securities Exchange Act Release No. 82588
If the Commission takes such action, the to make available publicly. All (January 26, 2018), 83 FR 4687 (February 1, 2018)
Commission shall institute proceedings submissions should refer to File (SR–FICC–2018–001).

to determine whether the proposed rule Number SR–MRX–2018–07 and should 4 See letter from Robert E. Pooler, Chief Financial

be submitted on or before April 2, 2018. Officer, Ronin Capital LLC, dated February 22,
should be approved or disapproved. 2018, to Robert W. Errett, Deputy Secretary,
For the Commission, by the Division of Commission, available at https://www.sec.gov/
IV. Solicitation of Comments comments/sr-ficc-2018-001/ficc2018001-3133039-
Trading and Markets, pursuant to delegated
161947.pdf; letter from Michael Santangelo, Chief
Interested persons are invited to authority.9 Financial Officer, Amherst Pierpont Securities LLC,
amozie on DSK30RV082PROD with NOTICES

submit written data, views, and Eduardo A. Aleman, dated February 22, 2018, to Brent J. Fields,
arguments concerning the foregoing, Secretary, Commission, available at https://
Assistant Secretary. www.sec.gov/comments/sr-ficc-2018-001/
including whether the proposed rule
[FR Doc. 2018–04836 Filed 3–9–18; 8:45 am] ficc2018001-3130095-161938.pdf. Since the
change is consistent with the Act. proposal contained in the Advance Notice was also
BILLING CODE 8011–01–P
filed as a Proposed Rule Change, supra note 3, the
7 15 U.S.C. 78s(b)(3)(A)(ii). Commission is considering all public comments
8 17 CFR 240.b–4 (f)(2). 9 17 CFR 200.30–3(a)(12). Continued

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10762 Federal Register / Vol. 83, No. 48 / Monday, March 12, 2018 / Notices

Section 806(e)(1)(G) of the Clearing PLACE: The meeting will be held in constitutional presence in the United
Supervision Act provides that FICC may Auditorium LL–002 at the States would render ineffectual the
implement the changes if it has not Commission’s headquarters, 100 F blocking and other measures authorized
received an objection to the proposed Street NE, Washington, DC 20549. in the Order because of the ability to
changes within 60 days of the later of (i) STATUS: This meeting will begin at 10:30 transfer funds instantaneously, I
the date that the Commission receives a.m. (ET) and will be open to the public. determine that no prior notice needs to
the Advance Notice or (ii) the date that Seating will be on a first-come, first- be provided to any person subject to this
any additional information requested by served basis. Visitors will be subject to determination who might have a
the Commission is received,5 unless security checks. The meeting will be constitutional presence in the United
extended as described below. webcast on the Commission’s website at States, because to do so would render
Pursuant to Section 806(e)(1)(H) of the www.sec.gov. ineffectual the measures authorized in
Clearing Supervision Act, the the Order.
MATTERS TO BE CONSIDERED: The subject
Commission may extend the review This notice shall be published in the
period of an advance notice for an matters of the Open Meeting will be the
Federal Register.
additional 60 days, if the changes Commission’s consideration of:
proposed in the advance notice raise • Whether to propose a rule under Dated: January 17, 2018.
Regulation NMS to conduct a Rex W. Tillerson,
novel or complex issues, subject to the
Commission providing the clearing Transaction Fee Pilot in NMS stocks. Secretary of State.
agency with prompt written notice of • Whether to propose amendments to [FR Doc. 2018–04878 Filed 3–9–18; 8:45 am]
the extension.6 Form N–PORT and Form N–1A related BILLING CODE 4710–AD–P
Here, as the Commission has not to disclosures of liquidity risk
requested any additional information, management for open end management
the date that is 60 days after FICC filed investment companies. DEPARTMENT OF STATE
the Advance Notice with the At times, changes in Commission [Public Notice: 10351]
Commission is March 13, 2018. priorities require alterations in the
However, the Commission finds the scheduling of meeting items. Waiver of Missile Proliferation
Advance Notice complex because FICC CONTACT PERSON FOR MORE INFORMATION: Sanctions Against Foreign Persons
proposes to make detailed, substantial, For further information and to ascertain
AGENCY: Department of State.
and numerous changes to the GSD what, if any, matters have been added,
margin calculation. Therefore, the deleted or postponed; please contact ACTION: Notice.
Commission finds it appropriate to Brent J. Fields from the Office of the SUMMARY: A determination has been
extend the review period of the Secretary at (202) 551–5400. made pursuant to the Arms Export
Advance Notice for an additional 60 Dated: March 7, 2018. Control Act and Export Administration
days under Section 806(e)(1)(H) of the Brent J. Fields, Act (as carried out under Executive
Clearing Supervision Act.7 Order 13222 of August 17, 2001).
Accordingly, the Commission, Secretary.
[FR Doc. 2018–04967 Filed 3–8–18; 11:15 am] SUPPLEMENTARY INFORMATION: Consistent
pursuant to Section 806(e)(1)(H) of the
with section 654(c) of the Foreign
Clearing Supervision Act,8 extends the BILLING CODE 8011–01–P
Assistance Act of 1961, as amended,
review period for an additional 60 days
so that the Commission shall have until notice is hereby given that the Secretary
May 12, 2018 to issue an objection or DEPARTMENT OF STATE of State has made a determination
non-objection to advance notice SR– pursuant to Section 73 of the Arms
[Public Notice: 10355] Export Control Act (22 U.S.C. 2797b)
FICC–2018–801.
and Section 11B(b) of the Export
By the Commission. E.O. 13224 Designation of Ahmad Iman Administration Act of 1979 (50 U.S.C.
Eduardo A. Aleman, Ali, aka Sheikh Ahmed Iman Ali, app. 2410b(b)), as carried out under
Assistant Secretary. Shaykh Ahmad Iman Ali, Ahmed Iman Executive Order 13222 of August 17,
[FR Doc. 2018–04903 Filed 3–9–18; 8:45 am] Ali, Abu Zinira as a Specially 2001, and has concluded that
BILLING CODE 8011–01–P
Designated Global Terrorist publication of the determination would
Acting under the authority of and in be harmful to the national security of
accordance with section 1(b) of the United States.
SECURITIES AND EXCHANGE Executive Order 13224 of September 23,
COMMISSION Christopher A. Ford,
2001, as amended by Executive Order Assistant Secretary of State for International
Sunshine Act Meeting 13268 of July 2, 2002, and Executive Security and Nonproliferation.
Order 13284 of January 23, 2003, I [FR Doc. 2018–04929 Filed 3–9–18; 8:45 am]
TIME AND DATE: Notice is hereby given, hereby determine that the person known BILLING CODE 4710–27–P
pursuant to the provisions of the as Ahmad Iman Ali, also known as
Government in the Sunshine Act, Public Sheikh Ahmed Iman Ali, also known as
Law 94–409, the Securities and Shaykh Ahmad Iman Ali, also known as DEPARTMENT OF STATE
Exchange Commission will hold an Ahmed Iman Ali, also known as Abu
Open Meeting on Wednesday, March Zinira, committed, or poses a significant [Public Notice: 10354]
14, 2018, at 10:30 a.m. risk of committing, acts of terrorism that
E.O. 13224 Designation of Abdifatah
amozie on DSK30RV082PROD with NOTICES

threaten the security of U.S. nationals or
Abubakar Abdi, aka Musa Muhajir as a
received on the proposal regardless of whether the the national security, foreign policy, or
comments were submitted to the Advance Notice or Specially Designated Global Terrorist
economy of the United States.
the Proposed Rule Change.
5 12 U.S.C. 5465(e)(1)(G). Consistent with the determination in Acting under the authority of and in
6 12 U.S.C. 5465(e)(1)(H). section 10 of Executive Order 13224 that accordance with section 1(b) of
7 Id. prior notice to persons determined to be Executive Order 13224 of September 23,
8 Id. subject to the Order who might have a 2001, as amended by Executive Order

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Document Created: 2018-11-01 08:50:57
Document Modified: 2018-11-01 08:50:57

Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Notices
FR Citation		83 FR 10761